AI and the future of entry-level jobs

SAN FRANCISCO - Entry-level job postings in the United States have dropped by about 35% over the past two years, a decline researchers say is being driven in part by the rapid adoption of artificial intelligence.

That finding comes from labor research firm Revelio Labs and reflects a growing shift in how companies hire, automate and train workers. 

Experts warn the trend could have long-term consequences for the future workforce — including the pipeline of employees who eventually move into leadership roles.

What they're saying:

"This is an existential problem," said Umesh Ramakrishnan, co-founder and partner at Kingsley Gate, a global executive search firm. "We’ve always had a social contract: you go to school, you study hard, and that first job helps you build a career. That first step is going away for so many companies, and we expect that to increase dramatically over the next 12 to 24 months."

Ramakrishnan said the decline in entry-level jobs is raising concerns among executives worldwide. His firm operates in 40 countries and regularly advises corporate leaders.

"Every CEO, every CFO, every board member started with an entry-level job," he said. "If those jobs disappear, where does the next generation come from? Middle-level jobs come from entry-level jobs, and that pipeline is breaking."

While companies are seeing short-term productivity gains and profit growth by relying more heavily on AI, Ramakrishnan said many executives are worried about what happens in three or four years, when experienced workers are needed to fill midlevel roles.

"They don’t know how to solve for today and tomorrow at the same time," he said. "All the investment dollars are going into AI, not into training young people coming out of colleges and schools."

What's next:

Ramakrishnan said the education system will need to change quickly to keep pace. 

He called for a "radical" shift in how colleges and universities prepare students for the workforce, including earlier and more immersive real-world work experience.

"We need to start placing freshmen," he said, adding that companies should help pay for education in exchange for meaningful, on-the-job training. "Students should be spending a lot of time in real workplaces so that after four years, they’re not competing for entry-level jobs — they’re ready to fill that middle layer."

He said the urgency extends beyond college campuses to high schools and families planning for the future.

"Start learning AI in high school," Ramakrishnan said. "And parents need to start thinking differently. If you want students to do well, get them real-world training much earlier than any of us did."

Experts say without swift changes from both employers and educators, the decline in entry-level jobs could reshape not just how people begin their careers — but who leads organizations in the decades ahead.